The Federal Trade Commission's Bureau of Consumer Protection knew it also yet the company continued to claim it could improve everything from school performance to aging. It was just a matter of time before the word came down, a $50 million judgment against Lumos Labs, the company behind multiple games. But they are settling for $2 million, because the company will never pay $50 million. Their reputation is shattered. They will have to notify customers about the settlement action and provide an easy way to cancel their auto-renewal.
“Lumosity preyed on consumers’ fears about age-related cognitive decline, suggesting their games could stave off memory loss, dementia, and even Alzheimer’s disease,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “But Lumosity simply did not have the science to back up its ads.”
Now if the FTC could take over supplement sales, the Dietary Supplement Health and Education Act of 1994 could be voided and charlatans bilking gullible (and desperate) people by selling that nonsense could have to return their billions and billions of dollars also.